Maksurova V. I., Usachev V. A.
Donetsk National University of Economics and Trade named
after M. Tugan-Baranovsky, Ukraine
MAKRETING MIX AND ITS VALUE TO THE EXPERTS
Marketing mix - is a set of tools (objects, processes and functions) to manipulate that marketers are trying to best satisfy customers.
The term marketing mix was first proposed by Neil Borden in the presidential address to the American Marketing Association. Borden used the work of James Kiloton in which the marketer has been described as a person coordinates the processes and combining the various elements of the work.
It was assumed that various combinations of elements can lead to a positive result of the market. In 1960, McCarthy has formulated a classification called the "4R" and combining the four elements (product, place, price, promotion). These tools have been isolated from many others, first of all, because their use had a direct impact on demand could encourage consumers to shop. McCarthy defended his thesis at Northwestern University, led by Professor Richard Clewitt, who used the technique of "product, price, distribution and promotion." McCarthy replaced by "distribution" to "distribution channels" - since we know 4P.
Neil Borden, who proposed the idea, says that the marketing mix - is proportional to the ratio of effort, a combination of measures, project design and the integration of elements of the marketing program, or "complex", which is based on an assessment of market forces to the greatest degree will help the company to achieve its goals and objectives at this time.
Philip Kotler defines it as follows: marketing mix - a set of control variables allows marketing, the totality of which the company uses in an effort to induce the desired response from the whole market.
He gives us such marketing mix model – 4P:
Marketing mix in its canonical form ("4P") includes four components:
Product - is a set of "goods and services", which the company offers to the target market.
Price – is money that consumers have to pay for this or that product.
Place (Distribution) - all sorts of activities through which the product is made available to target consumers.
Promotion - all sorts of activities of the company for the dissemination of information about the merits of the product and the target consumers are convinced to buy it.
These factors are most commonly subdivided into 4 groups, as did the first time E. Jerome McCarthy in 1960 in the book «Basic Marketing: A Marketing Approach».
Thus, the concept of marketing mix McCarthy was determined by a basic set of marketing tools that are included in the program of marketing: product policy (product), sales policy (place), pricing (price), communication policy and promotion policy (promotion). Hence the name - marketing mix 4p 4 pi or just marketing.
A key factor in this appears that it is on these four elements have full control marketers. In addition, it is believed that the order of the elements of the marketing mix clearly shows the sequence of the major marketing functions:
1. It is impossible to even raise the issue of a marketing program, if the marketer does not have at their disposal a product that can be offered to the market (consumer). Moreover, this proposal should be of particular value to the consumer. This situation is completely determines the famous aphorism marketers common sense consists in saying: "If you do not have the goods, then you have nothing."
2. In that case, if there exist at least two sides, each of which is interested in an exchange with the other side, they must have some means to interact. The proposed product should be available to consumers interested in it, so the following function of the marketing mix should solve this problem.
3. The customer always appreciates goods only on the basis of a set of the product's functionality, but also on the amount of those costs that are associated with its acquisition. We are talking about the famous marketing ratio of "price- quality". Specialists more clearly define this relationship as a "utility -quality": the consumer analyzes the usefulness of the proposed goods to him and acceptable to him the price of this utility. This implies the following component of a complex - price policy.
4. Potential participants in the transaction never be able to learn about each other, if among them there will be no communication, - respectively, the last element of the marketing mix of communication policy. Parties to the transaction must be adequately informed of the nature of existing proposals, each party shall, using the means of communication, to persuade the other side of the attractiveness of its own proposal.
In the future, other authors have attempted to develop this concept, extending the range of these four classic marketing tools. Thus, in 1981. Boom and Bitner tried to prove that the concept of "four P" is more suitable for the manufacturing and service industries need to add three "P".
Modern researchers are constantly expanding this list, so there are new concepts - 5P, 6P, 7P ... 12P and 4C, but it is an accepted concept 4P.
The model 7P to the complex "4P" added another 3: People, Process and Physical Evidence. By the way, today it has gained fairly widespread among marketers.
Still, 4P model - a very good model, has been existing for a long time. It is simple and elegant, so that is so widely spread. All other specialists administered at least in a small way, but affected the classic "4P". For example, a "people" is an element of the environment, it is difficult to control, and marketing it generally can not control it. Elements such as "Package", "Physical Evidence", "Profit" and "Public relations" are part of the complex "4P".
The simplicity and brevity of this model makes it easy to incarnate it in life. At the same time, it covers a large area necessary for the study. So to this day "4P" - the most common and widely used model.
1. Basovskii LE Marketing: a course of lectures. - Moscow: Infra-M, 1999
2. Philip Kotler. Principles of Marketing. A short course.: Trans. from English. - Moscow: Publishing house "Williams", 2005. - 656s.